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U.S. Tariffs on Chinese Goods Impact Medical Device Maker and Exports at Canton Fair

U.S. tariffs are crippling Chinese businesses, with orders for medical devices plummeting. Exporters are diversifying to survive, but uncertainty looms.
2025-04-15
U.S. Tariffs on Chinese Goods Impact Medical Device Maker and Exports at Canton Fair

As the U.S. escalates its tariff war with China, the impact is being felt by businesses at the Canton Fair, China's largest trade expo. One company, Conmo Electronic Co., which produces medical devices, is feeling the pinch more than most. Candice Li, the firm's marketing manager, shared that after Washington imposed a 145% tariff hike on Chinese goods, her U.S. orders vanished. With 60-70% of their business tied to American clients, the firm is facing severe financial strain.

Li explained, "Goods cannot be exported, and money cannot be collected. This is very severe." The tariffs were implemented by the Trump administration earlier this month, and with the absence of U.S. orders, the company is struggling to stay afloat. The situation is dire as China relies heavily on its $400 billion goods trade with the U.S. every year. The tariffs have caused widespread delays and cancellations of orders, leaving many Chinese exporters with no clear plan for the future.

At the fair, many other exhibitors echoed Li's concerns, with some turning their attention to non-U.S. markets in a bid to survive. Kobe Huang, a sales representative for Shenzhen Landun Environmental Technology, a maker of water filters and smart toilets, noted that while European sales have been stable, U.S. sales have "frozen" in light of the tariffs.

While some businesses, like speaker maker Zealot, have found new markets outside the U.S. to offset the impact, many companies are unsure how long they can sustain operations with the current uncertainty surrounding global trade policies. Henry Han from Apexto Electronics Co. pointed out that his company had considered shifting production to countries like Vietnam and the Philippines to avoid U.S. tariffs, but with those countries also facing tariffs, those plans have now stalled.

The ripple effects of these tariffs are being felt across the globe, as demand in other countries is likely to slow down due to the economic uncertainty caused by rising costs. As many businesses at the Canton Fair adjust their strategies, the future of U.S.-China trade relations remains in flux, with ordinary people and workers at the center of the growing economic tension.

As Li from Conmo warned, if the situation remains unresolved, it could lead to unemployment and reduced working hours. "If the situation remains deadlocked, the ones who will ultimately suffer are the ordinary people," she said, reflecting the mounting concern among Chinese businesses as they face a tough road ahead.